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Defense Digest

On The Pulse… New York Construction and Labor Law Practice Group. Knowing the Industry From the Inside Out

Defense Digest, Vol. 26, No. 4, January 2021

January 29, 2021

by Peter S. Read

Marshall Dennehey’s New York Construction and Labor Law Practice Group is comprised of a team of attorneys led by trial-tested partners, who each have decades of experience handling the most complex construction-site accident cases in the five boroughs of New York City and throughout the state. From issues involving contractual indemnification and insurance coverage, including owner-controlled and contractor-controlled wrap-up insurance programs, to the ever-evolving application of Labor Law 240, the infamous “Scaffold Law,” our attorneys remain at the forefront of this practice.

We represent clients across the entire spectrum of the construction industry, from architects and engineers to public and private building owners and developers, general contractors, construction managers, environmental and site safety consultants, and all manner of subcontractor trades. Our cases arise out of all aspects of the construction industry. They include claims involving excavation, shoring, demolition, crane, and heavy machinery operation in industrial, commercial and residential projects.

We bring to this practice more than just our legal expertise. Our attorneys have a variety of practical experience in and around the construction industry, such as employment in a family custom home construction company that has been in business on Long Island for the past 48 years; a former labor crew union member for a hotel construction company; employment with a developer building ski vacation homes; and even a licensed amateur radio operator with experience in the construction of antennae and other component parts.

So armed, our attorneys are fully versed in the full range of construction business practices, the roles of management and field personnel, and record-keeping protocols and procedures. Our attributes yield a cost-efficient defense strategy that we are ready to implement at a moment’s notice. Our proactive and aggressive approach enables us to anticipate issues and potential problems with ready and creative solutions—whenever and wherever our clients need us.

That means we are ready for immediate response to an accident scene. Since we are fully familiar with the complexity of construction sites, our experienced attorneys are ready and able to navigate sites to coordinate post-accident investigation in order to determine which trades and equipment are involved, identify and interview witnesses to the accident and individuals with knowledge relevant to the defense, and ensure the preservation of evidence.

A recent case illustrates how our background and experience translates into immediate results. The case involved a worker injured on the roof of a building under construction. As soon as we received the case assignment, we responded to the scene, determined exactly where and how the accident had occurred, and what type of work was involved. Knowing exactly what we needed in terms of records, we then immediately contacted our client and obtained the relevant construction documents that established that the client did not perform the type of work that produced the injury and that they did not perform any work at the location of the accident. We sent the documents to plaintiff’s counsel with a proposed stipulation of discontinuance and advised that we were otherwise ready to file a motion to dismiss calling for sanctions. The stipulation of discontinuance, with prejudice, of the claim against our client was signed within two weeks of our request.

It is this mindset and expertise that we take into every case assignment. On this point, we fully understand, and are ever mindful, that the interests of our clients and their insurers are most often best served by effectuating a swift and efficient transfer of their risk through either contractual indemnification or on the basis of additional insured status, and so each and every case is immediately analyzed for those opportunities.

Our record of excellent results by way of summary judgment victories or resolutions reached through strong negotiation at mediation is second to none. Nevertheless, when the facts or circumstances of a case require it, we do not hesitate to take a case to trial. By way of recent example, we have achieved the following:

  • We received a defense verdict after a three-week liability trial. We were facing liability under Labor Law 241(6) against our client. We obtained a verdict that assessed a significant percentage of fault on a claim for contribution against a third-party defendant that designed and manufactured a massive mechanical gantry running on a complex system of rails as part of a construction renovation project on the roof of a New York City building. We ended up saving our client over $2 million when the case resolved following the verdict.
  • We received summary judgment for a site safety consultant on the basis of its status as an independent contractor in a case involving the operation of a crane that resulted in the plaintiff sustaining catastrophic amputation injuries.
  • We received summary judgment for a third-party defendant employer in a case involving interrelated maritime and Labor Law construction claims at a marine construction site at the old Tappan Zee Bridge.
  • We won summary judgment, affirmed on appeal, for an owner where the court ruled that the plaintiff’s work activity did not qualify for protection under Labor Law 240, 241(6), or 200, under the Court of Appeals four-part analysis in Soto v. J Crew.
  • We won summary judgment for the owner and general contractor under Labor Law sections 240, 241(6), and 200, based on our argument that our client was not directing or controlling the plaintiff’s work when he was injured and that the Labor Law did not apply to the plaintiff’s fall from a truck in a parking lot adjacent to the construction site.

These examples represent but a mere snapshot of the cases handled and won by our New York Construction and Labor Law Practice Group. Our superior service and record of success is rooted not only in our legal expertise but also in our deep experience and knowledge of the construction industry itself from the inside out.

*Peter is a shareholder and co-chair of the firm’s New York Construction and Labor Law Practice Group. Peter works in our New York City office and can be reached at (212) 376-6445 or psread@mdwcg.com.

Firm Highlights

Thought Leadership

Delaware Superior Court Clarifies Pleading Standard for Legal Malpractice Claims

In the matter of Edelstein v. Kirschner, No. N25C-09-018 FJJ, 2026 Del. Super. LEXIS 45, at *1 (Super. Ct. Jan. 29, 2026), the plaintiff law firm sued its former client for unpaid legal fees in the amount of $4,399.35. The former client asserted a counterclaim alleging legal malpractice. More, specifically, the former client claimed that his lawyer committed malpractice be recommending that he settle an underlying lawsuit by entering into a stipulated judgment for an excessive amount with interest that was accruing at “an outlandish” interest rate. The law firm moved to dismiss the counterclaim on the basis that its former client had not alleged facts reflecting that he could prove the case within the case. That is, facts reflecting that his attorneys caused him to lose the underlying case. The Superior Court held that while a legal malpractice plaintiff in cases arising from underlying litigation must prove the case within the case to survive a summary judgment motion, he does not need to plead facts reflecting as much in order to survive a motion to dismiss. While this case addresses the pleading requirements of a legal malpractice case in Delaware, it also serves as reminder that chasing unpaid legal fees from a former client can often give rise to a legal malpractice counterclaim. Attorneys seeking to collect unpaid legal fees should ensure that the fees they seek are for a significant amount, which would be recoverable if a judgment is obtained. Otherwise, the effort could backfire.

Thought Leadership

Appellate Division Affirms Dismissal of Legal Malpractice Counterclaim Against Martin Law Firm

In Martin v. Loury, 2026 N.J. Super. Unpub. LEXIS 1617 (App. Div. July 15, 2026), Martin Law Firm represented Kirk Loury in an employment matter Mr. Loury filed against his former employer, Concord Equity Group Advisors LLC (“Concord”). The allegations included, among other things, that Loury was not fairly compensated for his employment with Concord. After a bench trial finding in Loury’s favor, the Appellate Division remanded this matter in February 2016 for a second trial. During the second trial, Concord CEO, Lee Argush, testified to lower compensation estimate than first trial. On remand, the second trial judge awarded Mr. Loury the same damages as the first judge, finding Mr. Argush not credible. After the findings during the second trial, Martin Law Firm filed an action against Mr. Loury to recover legal fees and costs of representing Mr. Loury in a second bench trial and Mr. Loury filed a counterclaim against Martin Law Firm for legal malpractice, alleging he should have received an even higher award in the second bench trial. In this allegation, Mr. Loury, through his expert, claimed that Martin Law Firm should have recalled Mr. Loury to the stand to rebut Mr. Argush’s testimony to allege an alternative theory of damages. Mr. Loury’s expert admitted that the second judge already rejected Mr. Argush's theory and accepted Loury's damages theory. The trial court barred Mr. Loury’s expert and dismissed Loury's counterclaim with prejudice before convening the collection trial, and the jury ruled in Martin Law Firm’s favor. Mr. Loury appealed the trial court's pretrial rulings barring his liability expert from testifying in support of his legal malpractice counterclaim, denying his motion for summary judgment on that counterclaim, and denying his motion to amend his counterclaim by adding attorney Joseph A. Martin as a codefendant. In affirming the trial court’s decision, the Appellate Division held that the trial court properly excluded Loury’s expert testimony in the counterclaim against Martin Law Firm because the expert could not explain how calling Loury as a rebuttal witness would have increased damages when the second judge already rejected Mr. Argush's testimony and accepted Loury's damages theory, making the expert’s causation opinion speculative. The Appellate Division also held that the trial court properly denied Mr. Loury's summary judgment motion on his malpractice counterclaim because reasonable minds could differ on whether Mr. Martin's alleged failures would have changed the second judge's damages award, given the judge already found Mr. Argush not credible, creating genuine factual disputes precluding summary judgment. Also, the Appellate Division held that the trial court properly denied Loury's May 2023 motion to add Joseph Martin individually because the statute of limitations expired in February 2022, six years after the 2016 appellate remand when Mr. Loury incurred new legal costs, and relation back did not apply because Mr. Loury knew Mr. Martin's identity throughout and strategically chose to sue only Martin Law Firm in his 2019 counterclaim.